On January 2, 2011, Jansing Corporation acquired a new machine with an estimated useful life of five years. The cost of the equipment was $40,000 with a residual value of $5,000.

a. Prepare a complete depreciation table under the three depreciation methods listed below. Use formats similar to the illustrations of the straight-line depreciation schedule, 200% declining-balance depreciation schedule, and 150% declining-balance depreciation schedule. In each case, assume that a full year of depreciation was taken in 2011.

1. Straight-line.
2. 200 percent declining-balance.
3. 150 percent declining-balance with a switch to straight-line when it will maximize depreciation expense.

b. Comment on significant differences or similarities that you observe among the patterns of depreciation expense recognized under each of these methods.